GOVT ADOPTS BILL ON AGRICULTURE LAW

ZAGREB, April 11 (Hina) - In an effort to more efficiently implement agricultural reforms, which is of vital importance if Croatian products are to be competitive on foreign markets, the Croatian government adopted a set of bills on agricultural incentives as well as conclusions on the financial consolidation of the state- owned agricultural industry. #L# Between 1999 and the end of last year, agricultural incentives increased several times, from 490 million to 1.69 billion kuna, yet despite these moves, there are no results, Finance Minister Mato Crkvenac said. He suggested that the bill was a good one but that a series of other steps would be required to guarantee the successful implementation of reforms in agriculture. The government adopted a report on the financial consolidation of agricultural companies that once employed 13,500 workers. Of a total of nine companies, six were successfully consolidated. The total amount of their debt prior to consolidation amounted to 3.9 billion kuna, of which state-owned companies owed 2.7 billion. The state exchanged its debts for new ownership shares. In the conclusions adopted, the government notes that the privatisation of these companies should be conducted as soon as possible and that new management teams should be introduced to guarantee successful business. The government also adopted a report on relations between Croatia and the International Monetary Fund and decided that before the month's end, the Finance Ministry should come up with new provisions for any possible new stand-by arrangement to be presented to parliament. An IMF mission is expected to visit Croatia in mid-May this year. The government adopted information on the first annual report of the European Commission on the Process of Stabilisation and Association in Southeast Europe. (hina) sb sp